I've decided I want to buy put options on stocks that are basically going down the toilet. At barchart.com I've found quite a few stocks that seem like they are headed for the floor because they are at 52 week lows, they have a slew of bad news, etc. but I'm wondering if there is a better place to look for stocks like that. If you know where else to look, please let me know. Here are two that I'm really looking at closely because they have the worst news out of the stocks I've looked at so far: SFNT and SPC What do you think about these?
I have a db of about 900 stocks ... 20 worst performers in terms of gains since 2004/01/05 NOTE: Last time I adjusted for splits was about 2 weeks ago, so there may be one of them in this list ... symbol gn open close LEA -72.02 58.50 16.37 GM -59.11 47.71 19.51 NTLI -58.99 70.50 28.91 PRX -56.87 64.20 27.69 MATK -54.16 66.06 30.28 FARO -47.95 26.65 13.87 NTES -45.49 41.90 22.84 TRB -44.20 49.46 27.60 LXK -41.90 79.00 45.90 ICOS -41.52 40.63 23.76 NAV -40.98 47.27 27.90 NVLS -40.95 42.30 24.98 BSX -40.90 36.50 21.57 INTC -39.38 31.74 19.24 ELX -38.52 27.39 16.84 WPI -38.47 45.39 27.93 BOW -37.65 45.15 28.15 RSH -37.42 29.29 18.33 MMC -36.68 46.24 29.28 CCU -33.57 43.75 29.06 SFNT -32.86 31.22 20.96 GCI -31.70 87.00 59.42 XLNX -30.62 38.25 26.54 SINA -30.43 38.32 26.66 (sorry ordered previous one incorrectly)
Cool, SFNT is on your list. I'm thinking its got further downside potential but it really didn't today.
Also, what are your short term opinions on Bausch & Lomb (BOL)? I like their products but apparently there have been overseas scares about infections of some sort.
Damn it, I should have bought a contract or 2 on BOL during trading yesterday. Oh well, I'm sure there are plenty more stocks in the crapper or going there.
I went ahead and bought 10 contracts of the July $40 Put @ 1.20 earlier. I just can't see this stock heading north in the near term with all of this bad news. I don't use ReNu but if I did I'd probably stop just to be safe. If this is profitable for me I hope I can find some more stocks like it.
This may be profitable after all. I bought at $1.20 and it is currently at $1.65 so we'll see. I have a feeling that this is going to get worse for BOL before it gets better.